India is expected to maintain the current level of thermal coal imports as the country’s power demand is likely to increase, said a report by Fitch Ratings on Monday.
Growth in renewable energy capacity may not be able to keep pace, it said.
“Fitch expects India to maintain its level of thermal coal imports,” the rating agency said.
Domestic output of dry fuel and logistics bottlenecks in coal transportation will also affect supply of coal to the market, it said.
“Indian coal imports increased by about two per cent y-o-y (year-on-year) in the nine months to March 2019,” it added.
“India’s thermal power plant utilisation increased...In 2H18, driven by higher electricity demand and lower capacity addition,” it said.
